Poloz says Canada prepared for Brexit

Poloz says Canada prepared for Brexit

The governor of the Bank of Canada said that despite fitful growth, a U.S. recovery over the next couple of years will help Canada’s economy rebound, according to a report in the Toronto Star.

In a speech Wednesday, Poloz said that policy makers are confident that Canada’s export sector continues to improve in spite of continued risks as the country adjusts to lower oil prices. He also moderated his estimate of the negative impact recent Alberta wildfires would have on second-quarter growth, the Star reported.

“It does seem that our core forecast narratives around the U.S. economy and around Canada’s exports remain intact,” he said. “Continued patience is required, but we have the right to be optimistic.”

The U.S. is showing broad signs of economic growth despite a recent disappointing job report, Poloz said. “We’re seeing renewed strength in housing and auto sales, and consumer confidence is near a post-crisis high.”

Poloz also said that the U.K. referendum later this month on whether to leave the European Union “poses new risks at the global level that could mean a shift in view.” Poloz told reporters after the speech that the central bank is “standing ready,” and that the markets would likely react no matter the outcome of the vote, the Star reported.